Jailed Lula to bow out of presidential race of Brazil

Former Brazilian President Luiz Inacio Lula da Silva

Jailed former Brazilian president Luiz Inacio Lula da Silva will throw in the towel on Tuesday in his legal battle to run in the Oct. 7 election and allow his Workers Party to announce running mate Fernando Haddad as its candidate, party sources told Reuters.

Lula had hoped the Supreme Court would agree to an appeal for more time to switch the head of the Workers Party (PT) ticket after Brazil's top electoral court last week banned him from running due to a corruption conviction and gave him 10 days to remove his name.

Two sources with knowledge of Lula's decision said Haddad will become the official candidate with an announcement outside the Federal Police headquarters in the southern city of Curitiba where the leftist icon has been jailed since April, serving a 12-year sentence for receiving bribes. Lula and Haddad huddled together on Monday afternoon in his jail room and began to draw up the letter, he said.